We all need money at some stage of our life be it for paying home premiums, medical bills, education fee, credit card bills, car premium, holiday bills and for so many other financial needs. It is a fact that not everybody is super rich and cannot buy anything anywhere. Large percentage of people around the world have limited amount of savings to manage their livelihood and sometimes even that savings seems insufficient to tackle emergency situations which require urgent cash. So what is the best alternative to handle such cash crunch situations without damaging the pre-existing financial instability?
Well you might be thinking that there is no easy way available that can help people get out of their cash crunch because to get money you need to have something to give as guarantee or you must possess all that is required to get money in return. So what is the easy way? Well it might be possible that not many people will agree on this because there has been a bad publicity of this tremendous medium that can get you easy money without putting you in a pressure situation. We are talking about car title loans and yes it is the handiest medium to get quick cash in time of emergency.
You must be thinking why only Car title loans California whereas there are many other financial alternatives easily available for getting a loan. Yes, you are absolutely right that there are numerous alternatives like payday loans and other micro loans handily present but do you know that in emergency cash crunch what is the most important factor to consider? Well that factor is time and it is the most precious thing in emergency. And the biggest disadvantage with other loan alternatives is that they consume a lot of time in approving a loan as they rigorously evaluate a borrower’s financial status. So it takes time but in case of car title loans the loan applicant can get the loan in as quick as 1 or 2 days.
This is the reason that car title loan can help people fight cash crunch easily. But what are the factors that make it stand out of other alternatives. Let’s have a look at some points:
No credit history is required: Unlike banks and other financial institutions there is no credit history required in car title loans. So even if a loan applicant has bad credit score or objectionable financial background he can apply for the car title loan. This is because car title loans doesn’t have anything to do with the credit history of the applicant because it is the title of the car that is kept as collateral for the loan amount given and if the borrower fails to repay the loan the lender sells the car to recover his loan.
Swift process: Car title loans have a very swift and simple process to understand. All that is required for the loan is that the loan applicant must own the title of the car, no lien title, vehicle insurance details, income stub, residential proof etc. and you are done with the paperwork. The car title loan executive then evaluate the loan amount based on the value and condition of the car (which in most case ranges from $2510 to $50,000) and will sanction the loan in favor of the loan applicant within a day or two.
No pre-payment penalty: Unlike banks and other financial institutions there is no penalty on making pre-payment of the loan amount. Other financial institutions charges a certain percentage of the loan amount for making a pre-payment of the loan. But this is not the case with car title loans and you can pay the loan amount when you have enough savings to do so and can save hundreds of dollar which otherwise you would have paid as interest until the loan was paid off.